Glenmark files arbitration claims for Crofelemer against Napo
08 Aug 2011
Glenmark Pharmaceuticals has filed arbitration claims against its partner Napo Pharmaceuticals Inc with the American Arbitration Association, seeking a declaration of its exclusive rights to diarrhoea drug Crofelemer in 140 countries.
Glenmark's statement with the American Arbitration Association seeks, among other things, a declaration of exclusive rights to develop, commercialise and distribute Crofelemer in 140 countries including exclusive right to distribute the drug through relief agencies in these countries, Glenmark said in a filing with the Bombay Stock Exchange.
The claims seek to prevent Napo from distributing these products through relief agencies in these 140 countries, it added.
Glenmark has an exclusive licence from Napo to develop, commercialise and distribute Crofelemer in 140 countries while Napo's other partner Salix Pharmaceutical Ltd would distribute the drug in regulated markets like North America, Japan and Europe.
Glenmark said it recognises the importance of relief agency distribution of crofelemer in emerging countries but believes that contractually it has exclusive legal rights with respect to relief agency distribution in the countries and indications licensed to Glenmark,
Glenmark said it has the resources, capability and corporate commitment to address relief agency distribution in emerging countries as per the licensing agreement
Glenmark's arbitration seeks to confirm it's exclusive right to engage in such pursuits and confirm that Napo has no rights to distribute products in Glenmark territories through any channels."
The drug is expected to be launched in India in 2012.